Fiscal Policy
the use of government spending and tax policies to influence economic conditions, especially macroeconomic conditions.
Fiscal policy.
How the gov. provides services for citizens
tax money
What type of tax is used when buying an item
Sales tax
The goal of this economy is to create social equity.
command economy
What is the purpose of government spending
To produce and purchase goods and services
Occurs when spending is higher than revenue in a budget
Deficit
These people who collect federal income taxes
the IRS
Type of tax that comes off of your paycheck
payroll tax
The goal of this economy is to promote free economic choices
market economy
How does the government make money?
taxes
Occurs when revenue is higher than spending in a budget.
Surplus
social security
Which tax is collected directly from a person or business
Direct tax
What economy is based on traditions or customs of a family or community.
Traditional Economy
fiscal policy
What type of budget matches expenditures with revenue.
this is the greatest source of revenue for the government
income
Which tax applies to gambling, gas, alcohol, etc.
excise tax
What economic system restricts trade with international partners?
Closed market economy.
Social security is what type of spending
this fiscal policy occurs when the government chooses to lower taxes in hopes of stimulating the economy.
Expansionary
Assessments are made by the govt. to determine the value of this for taxation
property
A tax that is issued by the federal gov on imported goods
tariffs
The government controls the means of production for certain key industries.
Socialism
what is the governments largest spending item
social security